- In which transactions as a result of journal records is geared towards extinguishment of common liabilities anywhere between assessee and you can aunt concerns off group, penalty isn’t leviable below sections 271D / 271E – Lodha Designers (P.) Ltd. v. ACIT [(2014) 34 ITR (Trib.) 157 (Mum.)] Choosing funds and payments as a consequence of journal records are struck by the related arrangements regarding area 269SS/269T. However, finishing `blank formalities’ regarding repayments and you can money by providing / getting cheque so you can change / square up transactions, isn’t intention of specifications out of point 269SS / 269T when purchases is actually if not bonafide or genuine. Where impugned record records within the particular guides had been done with look at to boost funds from sibling inquiries, so you can assign receivable among aunt issues, to adjust or import balances, to help you combine expense also to best clerical errors, etc., and it wasn’t case of funds one any of impugned purchases was aimed at non-industrial explanations and you may external typical business procedures, however, there is citation off conditions regarding Ss. 269SS/T, punishment was not leviable.
These information allegedly contains entities of cash receipts and money payments surpassing Rs
Whether or not REOPENING Of Comparison Lower than Point 147 Of your own Operate You may Be made To have Citation Regarding Specifications Of Section 269SS Of your Operate?
As discussed over, the latest penalty procedures significantly less than area 271D/271E of your own Act are entirely independent of the analysis procedures. However, this new assessing officer
Zero Punishment Below Section 271D And 271E On Bucks Receipts And you may Bucks Repayments Regarding Financing Over RS
don’t developed once 4/six many years having a conjecture that assessee possess dealt for the bucks deals and that should be affirmed. Hon’ble High Courtroom regarding Gujarat which have one such discrete question inside possible from Strong Recycling cleanup Industries vs. DCIT Unique Civil Application No. dt. when the determining officer has actually reopened the review for 2 reasons, among which had been greeting of your own loan as opposed to revealing the brand new setting from invited throughout the audit statement and its particular cost. The newest assessing officer has not filed one finding that earnings chargeable so you’re able to taxation enjoys fled research the best demands so you can reopen the latest comparison features as an alternative labeled this new imposition off you’ll penalty not as much as point 271D. As it’s held because of the variety of judgments of several process of law one reopening from investigations cannot be created for mere angling otherwise rowing concerns into simple suspicion, the matter are felt like in favor of assessee. The new examining manager should have a conviction you to income chargeable to tax has actually escaped research, which there has to be specific tangible issue having an alive link with it. Even when no specific time period might have been given in the act to own releasing punishment legal proceeding below point 271D/271E of the Work, you are able to declare that you can found tell you end in see to possess towering punishment despite the newest conclusion off 6 age of related review season in which deal inside violation out of Part 269SS/269T of your own Work is accomplished. However, adopting the choice from Gujarat Higher Court while the a lot more than, where in actuality the scrutiny regarding invited/fees away from financing/deposit/progress is to be generated from demanding form out of reopening out of examination not as much as point 147 of Operate, it can’t be achieved devoid of an independent cause to believe followed closely by help tangible situation the assessee has actually contravened this new terms of Area 269SS/269T of your own Operate.
Assessee transporter try involved with providers away from plying of vehicle and you may had not maintained any typical courses off membership. A survey under part 133A is actually presented in the firm premise of the assessee. The brand new evaluation try accomplished on such basis as data impounded. 20,000/- easy money payday loan Woodbury away from certain people that are accepted since the cash advance dumps invoices and cash loan dumps money. New skilled power, we.age., Most Administrator of cash Taxation invoked the newest arrangements out-of parts 271D and 271E to possess alleged infringement out of sections 269SS and 269T and you may imposed penalty away from Rs.21,82,000/- and Rs.sixteen,70,500/- respectively.